Indian markets rose sharply on Tuesday, with metal, auto and bank stocks leading the surge after reports that the Omicron strain may not be as severe as expected.
Broad-based buying was seen amid positive global cues after China’s central bank lowered its reserve requirement ratio for the second time this year in order to support growth that is widely expected to weaken at the end of the year.
The 30-share S&P BSE Sensex rallied 886.51 points, or 1.56 percent, to end at 57,633.65, snapping a two-day losing streak.
The broader NSE Nifty index surged 264.45 points, or 1.56 percent, to finish at 17,176.70.
Tata Motors, ICICI Bank, Axis Bank, Tata Steel and Hindalco jumped 3-5 percent in the Nifty pack, while FMCG and healthcare stocks ended slightly lower.
Looking ahead, the Monetary Policy Committee (MPC) of RBI will announce its decision on the repo rate on Wednesday.
Markets are divided on whether the central bank will hike the reverse repo rate or pause to see the impact of the Omicron Covid-19 variant on the domestic economy.
Market Analysis
Sensex, Nifty Follow Global Peers Higher
2021-12-07 11:10:03
